Housing prices continue to rise in Spain: what’s happening in 2026

The residential property market in Spain has maintained a clearly upward trend at the start of 2026. Both new-build and resale properties continue to become more expensive, driven by strong demand and limited supply in many areas.

According to the latest data published by Tinsa®, the average housing price has increased by 3.2% over the last quarter and by 14.3% compared to the same period last year. Prices are now approaching an average of €2,000/m², with prime areas such as Barcelona and Madrid reaching peak levels between €5,700 and €7,700/m².

Widespread growth, with stronger increases in specific areas

The rise in prices is neither temporary nor localized—it is a widespread phenomenon across nearly the entire country. However, certain areas are experiencing particularly significant growth:

• Major urban centers and their metropolitan areas
• Coastal regions, especially along the Mediterranean
• Established tourist destinations
• Cities with strong economic activity

In this context, regions such as Madrid, the Valencian Community, Castilla-La Mancha, and the Canary Islands are recording particularly strong growth, in many cases exceeding 15% year-on-year.

Capitals where prices are surging

This dynamic is also strongly reflected in provincial capitals. In fact, more than half are now registering annual increases of over 10%, a figure that has risen compared to the previous quarter.

Among the cities with the highest price growth are:

• Santander
• Albacete
• Pontevedra
• Seville

Madrid, while still among the fastest-growing cities, is showing slight signs of moderation, whereas Barcelona is accelerating its rate of increase.

Demand remains strong, though more stable

Although transactions have shown some slowdown in the first months of the year, interest in housing remains high.

Experts point out that the impact of previous interest rate cuts has already been absorbed by the market, leading to a more balanced and stable scenario in terms of transaction volumes.

Access to housing: increasingly demanding

One of the most relevant aspects is the financial effort required to purchase a property.

Currently, an average household must allocate approximately 33.9% of its disposable income to mortgage payments. While still considered reasonable, this reflects an upward trend.

In certain areas, the situation is more demanding:

• The Balearic Islands reach particularly high levels
• Madrid and Málaga are also among the most pressured markets
• In cities such as Madrid and Barcelona, the effort can exceed 50% in some cases

This highlights that, although the market remains active, access to housing continues to be a major challenge for many buyers.

Prices at peak levels in some areas

Another key point is that some regions and cities have already surpassed the price levels recorded during the 2007 housing boom, at least in nominal terms.

Among the cities with the highest prices are:

• San Sebastián
• Madrid
• Barcelona

However, when adjusted for inflation, values remain below those historical peaks in most cases.

The role of investment and the international context

The global economic environment also influences the real estate market. Factors such as inflation and geopolitical uncertainty can affect both demand and financing conditions.

Nevertheless, housing continues to be considered a safe-haven asset, sustaining investor interest and supporting price levels.

Conclusion: a growing market with new challenges

The Spanish real estate market continues to show strength in 2026, with widespread price increases and demand that, although more moderate, remains solid.

However, accessibility remains the main challenge, particularly in areas with the highest demand pressure.

In this context, having professional advice is key to making informed decisions, whether buying, selling, or investing.